Student Name: Memory Rameka Student ID:
Group: Certificate 3 in Business Admin Date:
Type of Assessment
This summative assessment will enable your Assessor to make a judgement of competency based on the submission of your completed assignments against the requirements of this unit of competency.
Assessor Instructions
The Assessment Benchmark developed for each unit of competency is the evidence criteria used to judge the quality of performance (i.e. the assessment decision-making rules). Assessors must use these benchmarks to make judgement on whether competency has been achieved and to determine if the participant has performed to the standard expected to meet unit requirement and learning outcomes. Competency results for each unit are recorded in the Record of Assessment Form.
Reasonable Adjustment
Careers Australia will allow flexibility in relation to the way in which each unit is delivered and assessed based on the student’s requirement. The following are the reasonable adjustments for this unit:
Reasonable Adjustment for this unit College Based On Line Delivery
assistance of a Learning Support Teacher for LLN issues Yes Yes
modifications to physical environment, eg wheelchair access Yes Not Applicable
changes to course design, eg instead of written assessment task – change to verbal questioning & assessor to write the answers Yes Not Applicable
Assessment Coding
Assessment of this program of study is based on competency based principles.
S = Satisfactory
NS = Not Satisfactory
Students who fail to perform satisfactorily for the assessment in the prescribed date may be assessed as ‘not satisfactory’. You are required to be assessed as ‘Satisfactory’ on completion of Assessments assigned by your assessor for this unit of competency.
Re-assessment
Any re-assessment is conducted as soon as practicable after you have been informed of the requirement to be re-assessed and have been given the opportunity to be re-trained and assimilate the training. You are re-assessed in only the areas assessed NS. It is at the assessor/s discretion to re-assess the entire assessment should it be demonstrated an overall understanding of this unit has not been achieved. Students that are assessed “satisfactory” after re-assessment of areas deemed NS will achieve competency for this assignment.
I acknowledge the assessment process has been explained and agree to undertake assessment. I am aware of Careers Australia’s appeals process, should the need arise. I also understand that I must be assessed as ‘satisfactory’ in all parts of the assessment to gain a competent result for this unit of competency. I declare that the work contained in this assessment is my own, except where acknowledgement of sources is made. I understand that a person found responsible for academic misconduct will be subject to disciplinary action (refer to student handbook).
Student Signature: __________________________ Date: ______
Assessor use only
Assessor Comment/Feedback: _________________
__________
__________
__________
Assessor Name: ____________________________ Assessor Signature: _______________________________
Date: _________________ Result: Satisfactory/Not Satisfactory
Office use only:
Results entered by: Date: Skills Centre:
Students must complete all tasks as outlined in the following pages.
Hints: - The following hints will assist when preparing reports for submission
Report format:
Executive summary
An executive summary is a very useful tool in communicating your information to busy people. It is essentially a short summary (often no more than a page) of the report objectives, findings, and conclusions.
Contents
Any report over three pages in length should have a list of contents. A list of contents not only helps people find their way around the report but it also gives an indication of what is in the report and the structure.
Introduction
The introduction should set the scene for the report by concisely describing the reason for the report and the background or history relevant to the report.
Body
The body should address the main information including:
• objectives of the review;
• how the review was conducted, who was consulted, etc.; and
• results of the review and key issues identified
Summary/Conclusions/Recommendations
Your conclusions should be clearly justified with reference to the results of the review. Your recommendations should be made twice, briefly in the opening summary or Executive Summary and then in more detail in the recommendations section.
Useful links to assist with assigned tasks.
This information is to be handed to each student to outline the assessment requirements.
Assessment due date: This will be aligned to Session Plan

Use this scenario or one from your own workplace to answer the following questions.
Scenario
You are working at the CA City Café. Your role is to assist Kurt Washington, accountant with bookkeeping for the café. Your main roles will be to maintain financial records on a daily basis, work with the general ledger and help with cash control for the Café. Your Business Activity Statement (BAS) and reconciliation work must be checked by Kurt Washington and banking by the duty managers. You are required to comply with all ethical principles and codes of practice that apply (see you eBook for help)
The café works on the following basis:
? Monthly lodgement of the BAS for the Australian Tax Office (ATO) is the report which calculates the GST owing or wed for your business. The due date is the 21st day of the following month. If the due date is a weekend or public holiday, the BAS can be lodged and payment made on the next business day. You are required to follow all ATO instructions and security of the café when compiling records
? The café prefers to perform bank reconciliations weekly to avoid any issues, this is your responsibility
? Other journal reconciliations are done monthly (eg. Petty cash, accounts receivable and payable)
? Any cash banking is done twice weekly, cash receipts are prepared daily along with transactions processed at the end of day by the duty manager (for the sake of this assignment we have provided daily transaction for the first few days to simulate a real situation, after that weekly totals to make the process less complicated. In the real world there would be a daily transfer of sales to the bank account via the EFTPOS machine)
? All records are to be kept for 7 years, as much as possible stored electronically with backup copies of electronic files stored with archived work. Monthly receipts and invoices stored in clearly labelled bundles ready to be added to the financial years’ work after reconciling and checking. At the end of the month bundle work according to Café procedures
? The procedure manual for all financial transaction management is stored on the Café intranet and a copy of forms is located on your computer for your use
? Supplier invoices are to be paid for within 30 days
? Customers pay cash or EFT and there are catering customers who pay on 30 day invoices
? Your responsibilities also include:
o Preparing monthly accounts payable information for payments within the time frame of the supplier agreement
o Prepare accounts receivable statements for the month
o Preparing banking twice weekly or depending on cash deposits (maximum cash amounts to be held $500 to be deposited after this amount)
o Maintaining security and backups of all transactions, journals and ledgers
o Required to uphold all ethical principles of the café - honesty, fairness, loyalty and avoid conflict of interest for example (see your eBook for more on ethical principles)
The Café operates the following accounts:
? One bank account for daily transactions
? Under normal circumstances the café would pay wages, PAYG and superannuation amounts for all staff. For the sake of this assessment there are no wage or superannuation payments required
? One bank business loan paid every two months, via direct withdrawal set up automatically
You have 5 suppliers that supply on a regular basis- all purchases are to be posted to account number 6-2000 in the chart of accounts, operating expenses for this assessment. In the real world there may be different account numbers for these kinds of transactions. (Check with your own organisation to determine their system and requirements). GST – unless specifically stipulated all prices are inclusive of GST 10%.
Supplier
Grow Fruit Veg Guys All purchases for these are on account with no GST due to the items being GST exempt
Mal Meat and Fish
Cawfee – Beverage suppliers 10% GST applies to all items from these suppliers
Mighty Motel Supplies
Office Stuff
Your Accounts receivable customers make up a small part of the business.
Customer (Account)
CA City Bank 10% GST applies to all items from these customers
Business a Go Go
Transactions for the Café for month September/XX
Sept Details Supplier/customer Details invoice etc. Amount $
1-Sep Sale on credit accounts receivable CA City Bank Catering Invoice 569 on account $2 563.00
2-Sep Cash receipts from register from café sales EFT $1 254.23
2-Sep Purchase on account CAWfee Invoice CAW12339 $956.00
3-Sep Cash receipts from register from café sales EFT $1 550.29
4-Sep Cash receipts from register from café sales EFT $1 109.35
4-Sep Payment cash phone account Direct deposit inv. T1234 $ 423.00
5-Sep Cash receipts from register from café sales EFT $1 254.23
5-Sep Purchase on account Mal Meat and Fish Invoice 23MBB on account $764.00
5-Sep Purchased furniture Fixed asset Office Stuff Invoice 2565 $1 562.00
6-Sep Cash receipts from register from café sales EFT $1 356.20
7-Sep Cash receipts from register from café sales EFT $1 223.54
7-Sep Purchase on account Grow Fruit Veg Guys Invoice JG 124 on account $656.80
7-Sep Purchase on account Mal Meat and Fish Invoice 28MBB on account $885.00
13-Sep Purchase on account Mal Meat and Fish Invoice 32MBB on account $985.00
14-Sep Cash receipts from register from café sales EFT $8 569.25
14-Sep Payment cash Rent Direct deposit $ 3 500.00
14-Sep Payment cash Website fees Cheque 156 invoice 568 $ 755.00
14-Sep Purchase on account Mighty Motel Supplies Invoice 1897 $1 256.00
14-Sep Purchased furniture Fixed asset Office Stuff Invoice 2569 $3 352.00
16-Sep Sale on credit accounts receivable Business a Go Go Invoice 570 $362.00
18-Sep Purchase on account Grow Fruit Veg Guys Invoice JG 132 on account $756.80
18-Sep Purchase on account Mal Meat and Fish Invoice 38MBB on account $685.00
20-Sep Sale on credit accounts receivable CA City bank Catering invoice 571 $569.00
21-Sep Cash receipts from register from café sales EFT $6 770.15
27-Sep Purchase on account Grow Fruit Veg Guys Invoice JGFV 139 $752.00
28-Sep Cash receipts from register from café sales EFT $4 007.54
28-Sep Paid cash delivery van rego Vehicle registration Direct deposit inv. 14896 $ 556.00
28-Sep Payment to credit supplier accounts payable Cash payments journal Grow Fruit Veg Guys Direct deposit $ 1 413.60
28-Sep Payment to credit supplier accounts payable Cash payments journal Mighty Motel Supplies Direct deposit $ 956.00
28-Sep Purchase on account CAWfee CAW12346 $889.00
29-Sep Purchase on account Mighty Motel Supplies Invoice 2013 $1 563.00
29-Sep Purchases on account Credit note CAWfee CNCAW12341 -$ 50.00

Question 1
You are required to perform several tasks each day, week and month. Complete the table below:
Task Timeframe Authorised supervisor Which organisational/ legal responsibilities including policies and procedures and government department would you need to work with?
BAS Monthly 21st of every month If the due date is a weekend or public holiday, the BAS can be lodged and payment made on the next business day Kurt Washington Organisation, Australian Tax Office
Financial transactions daily Kurt
Washington Organisation, Bank,
Bank reconciliation weekly Kurt Washington Bank
Cash banking Twice a week Duty Manager Bank
Archiving and storing records monthly Kurt Washington Organisation
Question 2
In the café there are there are transactions between customers and the café, between the café and their suppliers and many others. It is important to understand what kind of accounts these transactions fit into. Answer the following questions.
2a All accounts fit into one of five categories; what are these categories, include at least two examples for each category? Complete this table.
Account category Example
Assets Office Stuff, Mighty Motel Supplies
Liabilities Grow Fruit Veg Guys, Mal Meat and Fish
Equity Owner’s equity, drawings
Revenue or Income CA City Bank, catering sales
Expenses Vehicle Registration, Telephone
2b Give five examples of transactions you would expect to work with in the café. Using the chart of accounts provided in Appendix one and the Rules for Debit and Credit in your eBook. What account could they belong to? Complete the table.
Analysis Chart
Transaction Account category What account name and number will this affect - Increase or decrease? List both sides of the transaction DR/CR
Example telephone bill Expense Increase Telephone expense 6-1200 DR
Decrease Bank 1-1000 bank account CR
Rent Expense Increase Rent Expense 6-2200 DR

Decrease Bank 1-100 bank account CR
loan liability Increase Bank 1-100 bank account DR

Decrease Bank 1-100 bank account CR
Bad Debt Expense Increase account payable 2-1000 DR

Decrease account receivable 4-1000 CR

CR
Other Income Sales/income Increase Bank 1-100 bank account DR

DR
Decrease account payable 2-1000 CR
Credit Card Liability Increase account payable 2-1000 DR

Decrease Bank 1-100 bank account CR
CR
DR

Dr

CR
DR

CR
2c Outline the difference between credit and debit transactions. Minimum 75 words.
A credit is an accounting entry that either increases a liability or equity account, or decreases an asset or expense account. It is positioned to the right in an accounting entry. The reverse of a credit is a debit. A debit is an accounting entry that either increases an asset or expense account, or decreases a liability or equity account. It is positioned to the left in an accounting entry. The reverse of a debit is a credit.
Question 3
Discrepancies happen in a variety of circumstances. You have had an invoice, a credit note and a statement from CAWfee this week, copies are included here:
Tax Invoice Date 28/9/XX
From : CAWfee 2100 Address Rd CA City Invoice # CAW12346
accounts@cawfee.com.au Ph:7 3307 XX15
ABN: XX XXX XXX XXX
To CA City Café CA City
accounts@city.ca.edu.au Ph:7 3307 XX12
ABN: XX XXX XXX XXX
Qty Description of supply Unit Price GST Total
50 Bags CAWfee 1 kg $12.50 $56.82 $625.00
12 Cartons drink $22.00 $24.00 $264.00
Total amount payable $889.00
Please pay on receipt of this invoice
Our bank details are CBA BSB123xxx Account number 123XX5
Tax Invoice/Credit Date 28/9/XX
From : CAWfee 2100 Address Rd CA City Invoice # CNCAW12346
accounts@cawfee.com.au Ph:7 3307 XX15
ABN: XX XXX XXX XXX
To CA City Café 100 Address Rd Address
accounts@city.ca.edu.au Ph:7 3307 XX12
ABN: XX XXX XXX XXX
Qty Description of supply Unit Price GST Total
4 Credit $12.50 $4.55 $50.00
Total amount payable Credit $50.00
Please pay on receipt of this invoice
Our bank details are CBA BSB123xxx Account number 123XX5
Statement
From: CAWfee 2100 Address Rd CA City Date 30/9/XX
accounts@cawfee.com.au Ph:7 3307 XX15
ABN: XX XXX XXX XXX
To: CA City Café 100 Address Rd Address
accounts@city.ca.edu.au Ph:7 3307 XX12
ABN: XX XXX XXX XXX
Date Invoice # Document Invoice total Payments Balance
31/8/XX Opening Balance $-
28/9/XX CNCAW12346 Credit -$50.00 -$50.00
29/9/XX CAW12346 Invoice $889.00 $839.00
Balance $839.00
According to your records your account for CAWfee should equal $826.50. There was another bag of coffee damaged from an earlier invoice and delivery. You have a verbal agreement that this was to be credited to your account. Answer the following questions.
3a What is a discrepancy? Who may you need to refer it to? - A Discrepancy exists between things which ought to be the same, it can be small but is usually significant. Discrepancy relate to any account that is entered incorrectly, mistakes made in invoices from suppliers or to customers. May need to refer to Kurt Washington my manager.
3b According to the invoices and statement from CAWfee and your records the discrepancy exists. Explain in your own words what the discrepancy is include amounts. Is the GST affected? If so what is the amount of the GST, round it to the nearest cent. -the balance should equal $826.50 due to a bag of coffee being damaged so I subtracted $12.5 from the statement above $839 yes GST was affected the amount of GST is $55.68
3c What should you do now? Explain who you would approach and how you would record the outcome.
Any alterations need to be made properly and systematically creating a paper trail that others can follow. Make notes and explanations where possible to outline the changes required to correct or adjust a discrepancy after identifying the discrepancy within the financial records, it may be that i need to pass these on to the designated person. Make notes where possible to state the changes.
Question 4
You have been provided with the figures for the café operation for the past month in the scenario. You must enter the figures provided into the templates provided below. You may choose to use Excel or another spreadsheet application. Work with the journals as provided to match the following diagram.
Hint: Purchases of fixed assets are to be posted to the general journal see your eBook for more information.
Payments to suppliers are shown in the cash payments journal, they affect the accounts payable schedule.
GST on sales and purchases is to be calculated as instructed in the scenario. You must show the GST amounts separate to the sale amount. Eg: $110 of cash taken in the bank in sales will = $10 GST on sales account 22-1100 and $100 to sales account 4-1000
Cash payments journal CPJ Cash payments journal used for all cash payments
Month end 30/9/XX
Date Particulars Account Inv.# DR GST DR CR
4-sep Phone Account 6-1200 T1234 $384.55 $38.45 $423
14-sep Rent 6-2200 Direct Deposit $3,181.82 $318.19 $3,500
14-sep Website fees 6-2100 568 $686.36 $68.64 $755.00
28-sep Vehicle registration 6-1100 14896 $514.55 $50.54 $556
28-sep Payment Grow Fruit Guys Direct Deposit $1,285.1 $128.5 $1413.6
28-sep MightY Motel Supplies Direct Deposit $869.10 $86.90 $956.00
Total $6,921.48 $691.22 $7603.6
Cash receipts journal Cash receipts journal used for all cash receipts
Month end 30/9/XX
Date Particulars Account Ref. DR Sales CR GST CR
2-sep Café sales 4-1000 $1254.23 $1,140.21 $114.02
3-sep Café sales 4-1000 $1550.29 $1409.36 $140.93
4-sep Café sales 4-1000 $1109.35 $1008.5 $100.85
5-sep Café sales 4-1000 $1254.23 $1140.21 $114.02
6-sep Café sales 4-1000 $1356.20 $1232.9 $123.30
7-sep Café sales 4-1000 $1223.54 $1112.3 $111.24
14-sep Café sales 4-1000 $8 569.25 $7790.23 $779.02
21-sep Café sales 4-1000 $6 770.15 $6154.68 $615.47
28-sep Café sales 41000 $4 007.54 $3643.21 $364.33
Total $27,094.78 $24,631.6 $2,463.18

Sales journal Sales journal used for all credit sales – sales that are not paid for immediately
Month end 30/9/XX
Date Particulars Account Inv. # Debit Sales CR GST CR
1-sep CA City Bank Catering 4-2000 569 $2563.00 $2306.7 $256.3
16-sep Business a Go Go 1-4000 570 $362.00 $325.8
$36.2
20-sep CA City Bank Catering 4-2000 571 $569.00 $512.10 $56.9
Total $3494.00 $3144.6 $349.4
Purchases journal Purchases journal used for all purchases not paid for immediately
Month end 30/9/XX
Date Particulars Account Inv.# DR Purchases GST DR CR
2-sep CAWfee CAW12339 $869.10 $86.90 $956.00
5-sep Mal Meat and Fish 23MBB $694.55 $69.45 $764.00
5-sep offices stuff 2565 $1420 $142.00 $1562.00
7-sep Grow Fruit Veg Guys JG124 $597.10 $59.70 $656.80
7-sep Mal Meat and Fish 28MBB $804.55 $80.45 $885.00
13-sep Mal Meat and Fish 32MBB $895.46 $89.54 $985.00
14-sep Mighty Motel Supplies 1897 $1141.82 $114.18 $1256.00
14-sep Office Stuff 2569 $3,048 $304.72 $3352.00
18-sep Grow Fruit Veg Guys JG132 $688.00 $68.80 $756.80
18-sep Mal Meat and Fish 38MBB $622.73 $62.27 $685.00
27-sep Grow Fruit Veg Guys JGFV 139 $683.64 $68.36 $752.00
28-sep CAWfee CAW12346 $808.19 $80.81 $889.00
28-sep Mighty Motel Supplies 2013 $1420.91 $142.09 $1563.00
29-sep CAWfee – credit note CNCAW12341 $0 $0 -$50
Total $13,694.05 $1369.27 $15,012.60
General journal GJ
Month end 30/9/XX
Date Particulars Folio Account # DR CR
14-Sep Purchased furniture fixed asset office stuff Invoice 2569 $3,352.00
28-sep
Grow Fruit Veg Guys

$ 1 413.60
28-sep
Mighty Motel Supplies
$ 956.00

Question 5
You are to create ledger for accounts receivable schedule and accounts payable for the transactions above.
Accounts Payable
Office Stuff
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance $-
5-sep Office stuff 2565 $1562.00 $1,562.00
14-sep Office stuff 2569 $3,352.00 $4,914.00
CAWfee
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance $-
2-sep CAWfee CAW12339 $956.00 $956.00
28-sep CAWfee CAW12346 $889.00 $1,845.00
29-sep CAWfee CNCAW12341 -$50 $1,795.00
Grow Fruit Veg Guys
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance cr
7-sep Grow fruit veg guys JG 124 $656.80 $656.80
18-sep Grow fruit veg guys JG 132 $756.80 $1413.60
27-sep Grow fruit veg guys JGFV 139 $752.00 $2,165.00
28-sep Grow fruit veg guys Deposit $1413.60 $752.00
Mal Meat and Fish
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance $-
5-sep Mal Meat and fish 23MBB $764.00 $764.00
7-sep Mal Meat and Fish 28MBB $885.00 $1649.00
13-sep Mal Meat and Fish 32MBB $985.00 $2634.00
18-sep Mal Meat and Fish 38MBB $685.00 $3319.00
Mighty motel supplies
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance 1654 cr
14-sep Mighty Motel Supplies 1897 $1256.00 $1256.00
28-sep Mighty Motel Supplies Deposit $956.00
29-sep Mighty Motel Supplies 2013 $1563.00 $1863.00
Accounts payable schedule/ageing summary
as at 30 September 20XX
Supplier Total Current 30 days 60 days 90 days
Office Stuff $4914.00 $4914.00
CAWfee $1795.00 $1795.00
Grow Fruit Veg Guys $752.00 $752.00
Mal Meat and Fish $3319.00 $3319.00
Mighty motel supplies $1863.00 $1863.00
Total Accounts payable $12,643.00 $12643.00
Accounts receivable
Business A Go Go
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance
16-sep Business a go go 570 $362.00
CA City Bank
Date Particulars Invoice Debit Credit Balance
31-Aug Opening Balance $-
01-sep Ca city bank 569 $2563.00

20-sep Ca city bank 571 $569
Accounts receivable schedule/ageing summary
as at 30 September 20XX
Customer Total Current 30 days 60 days 90 days
Business A Go Go $362.00 $362.00
CA City Bank $2563.00 $2563.00
Total Accounts receivable $2,925.00 $2,925.00
Question 6
Once the journals have been correctly entered you are required to transfer the details to the general ledger. The template is provided below:
Hint: The creditors and debtors control accounts are the total of all accounts payable (creditors) and accounts receivable (debtors) amounts respectively.
General ledger
Date Particulars Account Ref/ invoice DR DR Balance
Bank (asset) 1-1000

02-sep Cash receipts 4-1000 $1254.23
03-sep Cash receipts 4-1000 $1550.29
04-sep Cash receipts 4-1000 $1109.35
04-sep phone Direct Deposit T1234 $423.00
05-sep Cash receipts 4-1000 $1254.23
06-sep Cash receipts 4-1000 $1356.20
07-sep Cash receipts 4-1000 $1223.54
14-sep cash receipts 4-1000 $8569.25
14-sep rent Direct Deposit $3500.00
14-sep Website fees Cheque 156 Invoice 568 $755.00
20-sep Ca city bank catering credit Invoice 571 $569.00
21-sep Cash receipts 4-1000 $6770.15
28-sep Cash receipts 4-1000 $4007.54
28-sep Paid delivery van rego Direct Deposit Invoice 14896 $556.00
28-sep Grow fruit veg guys Direct Deposit $1413,60
28-sep Mighty Motel Supplies Direct Deposit $956.00
Total $7603.6 $27,663.78
Furniture and fittings (asset) 1-3000
05-sep Office stuff 1-3000 2565 $1562.00
$1562.00
14-sep Office stuff 1-3000 2569 $3352.00 $3352.00
Accounts receivable /Debtors control (asset) 1-4000
16-sep Business a go go 1-4000 570 $362.00
01-sep CA City Bank 1-4000 569 $2563.00
20-sep CA City Bank 1-4000 571 $569.00
Accounts payable /Creditors control (liability) 2-1000
5-sep Office stuff 2565 $1562.00 $1,562.00
14-sep Office stuff 2569 $3,352.00 $4,914.00
2-sep CAWfee CAW12339 $956.00 $956.00
28-sep CAWfee CAW12346 $889.00 $1,845.00
29-sep CAWfee CNCAW12341 -$50 $1,795.00
7-sep Grow fruit veg guys JG 124 $656.80 $656.80
18-sep Grow fruit veg guys JG 132 $756.80 $1413.60
27-sep Grow fruit veg guys JGFV139 $752.00 $2,165.00
28-sep Grow fruit veg guys Deposit $1413.60 $752.00
5-sep Mal Meat and fish 23MBB $764.00 $764.00
7-sep Mal Meat and Fish 28MBB $885.00 $1649.00
13-sep Mal Meat and Fish 32MBB $985.00 $2634.00
18-sep Mal Meat and Fish 38MBB $685.00 $3319.00

GST on sales amounts you owe the ATO (liability) 2-1100
02-sep Café sales 4-1000 crj $114.02 $114.02
04-sep Café sales 4-1000 crj $100.85 $100.85
05-sep Café sales 4-1000 crj $114.02 $114.02
06-sep Café sales 4-1000 crj $123.30 $123.30
07-sep Café sales 4-1000 crj $111.24 $111.24
14-sep Café sales 4-1000 crj $779.02 $779.02
21-sep Café sales 4-1000 crj $615.47 $615.47
28-sep Café sales 4-1000 crj $364.33 $364.33
Total $2,322.61 $2,322.61

GST on purchases amounts the ATO owes you (asset) 2-1200
02-sep CAWfee 2-1200 CAW12339 $86.90 $86.90
05-sep Mal Meat and Fish 2-1200 23MBB $69.45 $69.45
05-sep Office Stuff 2-1200 2565 $142.00 $142.00
07-sep Grow Fruit Veg Guys 2-1200 JG124 $59.70 $59.70
07-sep Mal Meat and Fish 2-1200 28MBB $80.45 $80.45
13-sep Mal Meat and Fish 2-1200 32MBB $89.54 $89.54
14.sep Mighty Motel Supplies 2-1200 1897 $114.18 $114.18
14-sep Office stuff 2-1200 2569 $304.72 $304.72
18.sep Grow Fruit Veg Guys 2-1200 JG132 $68.80 $68.80
18-sep Mal Meat and Fish 2-1200 38MBB $62.27 $62.27
27-sep Grow Fruit Veg Guys 2-1200 JGFV139 $68.36 $68.36
28-sep CAWfee 2-1200 CAW1246 $80.81 $80.81
28-sep Mighty Motel Supplies 2-1200 2013 $142.09 $142.09
29-sep CAWfee 2-1200 CNCAW12341
$0 $0
Total $1369.18 $1369.18
Sales - Café (income) 4-1000
2-sep Café sales 4-1000 $1254.23 $1,140.21 $114.02
3-sep Café sales 4-1000 $1550.29 $1,409.36 $140.93
4-sep Café sales 4-1000 $1109.35 $1008.5 $100.85
5-sep Café sales 4-1000 $1254.23 $1140.21 $114.02
6-sep Café sales 4-1000 $1356.20 $1232.9 $123.30
7-sep Café sales 4-1000 $1223.54 $1112.3 $111.24
14-sep Café sales 4-1000 $8 569.25 $7790.23 $779.02
21-sep Café sales 4-1000 $6 770.15 $6154.68 $615.47
28-sep Café sales 41000 $4 007.54 $3643.21 $364.33
Total $29,674.52 $24,631.60 $2463.54
Sales – Catering Bank (income) 4-2000
1-sep CA City Bank Catering 4-2000 569 $2563.00 $2306.7
$256.3
20-sep CA City Bank Catering 4-2000 571 $569.00 $512.10 $56.9
Motor vehicle registration (expenses) 6-1100
28-sep Vehicle registration 6-1100 14896 $556.00 $556.00
Phone (expense) 6-1200
04-sep Phone account 6-1200 T1324 $423.00 $423.00
Operating expenses 6-2000
16-sep Business a go go 570 $362.00
01-sep CA City Bank 569 $2563.00
20-sep CA City Bank 571 $569.00
5-sep Office stuff 2565 $1562.00 $1,562.00
14-sep Office stuff 2569 $3,352.00 $4,914.00
2-sep CAWfee CAW12339 $956.00 $956.00
28-sep CAWfee CAW12346 $889.00 $1,845.00
29-sep CAWfee CNCAW12341 -$50 $1,795.00
7-sep Grow fruit veg guys JG 124 $656.80 $656.80
18-sep Grow fruit veg guys JG 132 $756.80 $1413.60
27-sep Grow fruit veg guys JGFV139 $752.00 $2,165.00
28-sep Grow fruit veg guys Deposit $1413.60 $752.00
5-sep Mal Meat and fish 23MBB $764.00 $764.00
7-sep Mal Meat and Fish 28MBB $885.00 $1649.00
13-sep Mal Meat and Fish 32MBB $985.00 $2634.00
18-sep Mal Meat and Fish 38MBB $685.00 $3319.00
Website (expense) 6-2100
14-sep Website fees 568 $755.00 $755.00
Rent (expenses) 6-2200
14-sep Rent Direct Deposit $3500.00 $3500.00
Question 7
Reconciliation is an important part of your job. Answer the following questions regarding reconciliation.
7a Why is reconciliation necessary? Minimum 25 words.
Reconciliation leads to accurate financial records that are verified by the processes of matching transactions with others to balance the books . Figures that have been reconciled: · Lead to more accurate financial statements. · Prove that the balance of the particular account is correct and verifiable. · Minimise errors. · Lead to early detection of problems and avoid costly time consuming mistakes and the time to correct them. eBook BSBFIA303 Process accounts payable and receivable · Minimise the potential for fraud.
7b In your own words outline the process of reconciling accounts payable and accounts receivable with the general ledger. Minimum 50 words – To make sure that all entries are correctly entered? make sure all invoices are correct to suppliers and customers, gst correctly entered, Have all credit notes or returns been entered properly? Have all payments been applied to the suppliers and customer’s account properly? Does the statement from the supplier’s and customer’s match your transactions, credit and payments?
Hint: see the check list in the eBook.
Question 8
Your bank statement has arrived. You are required to perform a bank reconciliation. Any transaction that are related to timing of the statement are able to be corrected by you, any others would need to be referred to your supervisor.
Hint: Compare the bank statement to your general ledger records for the bank account number 1-1000. Mark matching transactions so you can identify any discrepancies.
CA BANK Transactions
STATEMENT CBA 123xxx 123XX5
CA City Café Account 1 00 Address Rd Address QLD 4999 Page 1 of 1
Date Transactions Ref Withdrawal Deposit Balance
Balance brought forward $9 325.20
2-Sep Cash Receipts EFT $1 254.23 $ 10 579.43
3-Sep Cash Receipts EFT $1 550.29 $ 12 129.72
4-Sep Cash Receipts EFT $1 109.35 $ 13 239.07
4-Sep Paid phone account Direct deposit $423.00 $ 12 816.07
5-Sep Cash Receipts EFT $1 254.23 $ 14 070.30
6-Sep Cash Receipts EFT $1 356.20 $ 15 426.50
7-Sep Cash Receipts EFT $1 223.54 $ 16 650.04
14-Sep Cash Receipts EFT $8 569.25 $ 25 219.29
14-Sep Paid Website fees Cheque 156 $755.00 $ 24 464.29
14-Sep Rent Direct deposit $3 500.00 $ 20 964.29
21-Sep Cash Receipts EFT $6 770.15 $ 27 734.44
20-Sep Payment CA City Bank Catering invoice 571 $ 569.00 $ 28 303.44
28-Sep Cash Receipts EFT $4 007.54 $ 32 310.98
28-Sep Paid Delivery van rego Direct deposit $556.00 $ 31 754.98
28-Sep Payment Grow Fruit Veg Guys Direct deposit $1 413.60 $ 30 341.38
28-Sep Payment Mighty Motel Supplies Direct deposit $956.00 $ 29 385.38
30-Sep Bank fees $5.50 $ 29 379.88
$7 609.10 $27 663.78 $ 29 379.88
8a Did you identify any differences between the bank statement and the books of the business? Note them here. You need to identify date, amount, and the effect the transaction will have on the accounts complete the following table
Analysis Chart
Date Transaction details Effect of the transaction Account # Amount

DR CR
01-sep Balance Brought Forward – im unsure where the total came from… It effects the total amount
Decrease bank account
Increase accounts payable 1-1000
6-1200 $9325.20

30-sep Bank fees Didn’t input bank fees 1-1000 $5.50

8b You are required to update the appropriate cash and credit journals with any relevant data from the bank statement. Which four ledger accounts would you need to alter? List them here? – cash receipt journal- cash payment journal-account receivable-account payable
8c Do you need to notify other personnel to adjust these errors? What types of transactions would need referring to a supervisor? Explain your answer. (Minimum 50 words)-yes i need to notify manager I need to know where the opening balance $9,325.20 came from I couldn’t figure out where it came from referring to the bank statement. I need to send bank statement and my cash receipt and cash payment journals to manager to rectify the situation.
Question 9
You are required to complete a reconciliation report. Use the following table to prepare this for your figures.
Name of business: CA City Café Period to: 30/9/XX
Bank balance as per bank statement at: $ 29,379.88
Plus outstanding deposits*
* Money received by end of period and recorded in cash book, but not yet banked
Date / / $
Total $
Subtotal
Less Deposits not presented
$
Less un-presented amounts **
** a issued, but not yet shown on bank statement
Cheque no. $
Total $
Bank fees charged but not entered
Closing cash balance as per cash books***
*** If you maintain a running cash balance in your cash book, it should equal this figure if all amounts have been entered
Question 10
You have received the following statement from one of your suppliers. Do you balance with their figures? How will you reconcile this account? Answer the following questions.
10a Is there a discrepancy? If there is, list the effect of the change, the invoice number and amount in question?
10b You are required to check payment documentation. List the steps you would take to determine who has made the mistake? List three steps.
Statement
Grow Fruit and Veg Guys Date: 30/9/XX
Address xxx xxx xx ABN: XX XXX XXX XXX
Terms: Net 30 days. A finance charge of 1.5% will be charged on unpaid balances
Date Invoice # Charges Credits Balance
7-Sep 124 $656.80 $656.80
18-Sep 132 $756.80 $1,413.60
27-Sep 139 $725.00 $2,138.60
28-Sep 124 and 132 invoice payment $1,413.60 $725.00
Final balance $725.00
Ageing Current 30 days 60 days 90 days
$725.00
Question 11
You are required to manage the accounts receivables systems for the business.
11a Create statements owing for all your customers as at the end of September 20XX. You may need to check the bank reconciliation statement to make sure the correct amounts are included in the statements. Use the template provided below.
Statement
CA City Bank Date: 30/9/XX
Address xxx xxx xx ABN: XX XXX XXX XXX
Terms: Net 30 days. A finance charge of 1.5% will be charged on unpaid balances
Date Invoice # Charges Credits Balance

Final balance
Ageing Current 30 days 60 days 90 days

Statement
Business a Go Go Date: 30/9/XX
Address xxx xxx xx ABN: XX XXX XXX XXX
Terms: Net 30 days. A finance charge of 1.5% will be charged on unpaid balances
Date Invoice # Charges Credits Balance

Final balance
Ageing Current 30 days 60 days 90 days

11b How would you be sure these statements were correct? List three steps to confirm any discrepancies. Include reference to source documents.
11c When and how should invoices and statements be sent out?
Question 12
Working with accounts receivable schedule/ageing summaries provides you valuable information regarding the age of transactions in your accounts receivable.
12a Are there any accounts that could cause a problem for the café at the moment?
12b Using a different accounts receivable schedule/ageing summary such as the one below, which of the accounts of the business in this case may be a problem for the business. List the amount and the account name.
Accounts receivable schedule/ageing summary for
Another BIG Business
as at 30 September 20XX
Customer Total Current 30 days 60 days 90 days
Flintstone Constructions $30 362.00 $ 4 862.00 $25 500.00
Johnson $3 569.00 $1 569.00 $2 000.00
Smithers $6 980.00 $6 980.00
Total Accounts receivable $40 911.00 $6 431.00 $8 980.00 $25 500.00
Question 13
There times in business when your customers do not pay. Answer the following questions.
13a If you were to address the problem with the customer in the Another Big Business who should you work with and what steps should be taken? Give examples of steps within the collection process? List five.
13b If Flintstone Constructions does not pay what must you do at the end of the process? Explain in minimum 50 words.
Question 14
Flintstone Constructions is a good customer even if they are terrible payers. Assuming they eventually paid you. What would need to happen with Flintstone Constructions with regard to their credit terms? Suggest three approaches you could take with managing the collection of this customers in your accounts receivable account. Minimum 100 words.
Hint: Which policy would you need to refer to when addressing these issues with credit terms and customers?
Would this be your sole responsibility?
Appendix One
Chart of accounts
A/C# Account description
1-0000 Assets 4-0000 Sales
1-1000 General bank account 4-1000 Café sales
1-1100 Petty cash 4-2000 Catering sales
1-2000 Inventory 4-4000 Other Income
1-3000 Furniture and fittings
1-4000 Accounts receivable 6-0000 Expenses
6-1000 Accountancy
2-0000 Liabilities 6-1100 Motor vehicle registration
2-1000 Accounts payable 6-1200 Motor vehicle repairs and maintenance
2-1100 GST on sales (GST payable amounts you owe the ATO) 6-1200 Telephone
2-1200 GST on purchases (GST input tax credit amounts the ATO owes you) 6-2000 Operating expenses
2-1300 PAYG withholding payable 6-2100 Advertising website
2-2000 Credit card 6-2200 Rent
2-3000 Loans 6-2300 Wages
6-2400 Bank Fees
3-0000 Equity 6-2500 Bad Debts
3-1000 Owners’ equity 6-2600 Superannuation payable
3-1200 Drawings